The Hobbes Company manufactures stuffed toy animals and had the following cost information for the production run of 120,000 units: (a) rent on a billboard $1,800, (b) rent on the factory $16,000, (c) cloth and thread $34,800, (d) factory worker s compensation $38,600, (e) administrative staff compensation $18,000. If the company sold 80,000 units, what total dollar amount would it report as inventory (as needed, round your final answer to the nearest whole dollar)?

The inventory cost includes direct material, direct labor and manufacturing overhead.

Answered: The Hobbes Company manufactures stuffed…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter2: Building Blocks Of Managerial Accounting

Section: Chapter Questions

Problem 4EB: Roper Furniture manufactures office furniture and tracks cost data across their process. The...

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The Hobbes Company manufactures stuffed toy animals and had the following cost information for the production run of 120,000 units:

(a) rent on a billboard $1,800,

(b) rent on the factory $16,000,

(d) factory worker s compensation $38,600,

(e) administrative staff compensation $18,000.

If the company sold 80,000 units, what total dollar amount would it report as inventory (as needed, round your final answer to the nearest whole dollar)?

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